OK, boomer – Millennials are saving money for retirement nearly a decade earlier than older generations

Newsflash – millennials are getting older! But with the gray hair and creaky joints also comes retirement planning, which a new study shows millennials do differently than older generations.

A new Charles Schwab Retirement Reimagined Study shows that millennials are starting to save for retirement nearly a decade earlier than boomers, but they’re less likely to spend a bunch of time managing their money and investments while in retirement than boomers or Gen X. The study also found that while boomers are likely to keep making money while in retirement, millennials are more likely to use their retirement savings to pursue their dream lifestyle.

Key comments:

“Circumstances are incredibly different now than they were 30 years ago which has given this generation the ability to save far earlier and at a rate that supersedes those in the boomer era,” said Mark J. Pinto, president of Harbourfront Wealth Management. “Because of this, millennial retirement comes with a contrastingly different meaning.”

“We’ve seen a number of younger investors make their first-ever investments in the last two years, but we’re also seeing them go beyond those initial steps to engaging with our digital retirement planning tools and other resources that will help them make their retirement uniquely their own,” Jonathan Craig, Managing Director, Head of Investor Services & Marketing at Charles Schwab, said.